Mr. Speaker, I am pleased to rise to speak on this motion today and take the opportunity to share with the House the important economic ties between Canada and Israel.
As we know, the Government of Canada believes the BDS movement to not only be unhelpful but also unjust. Canada is proud of its economic and commercial ties with Israel. For example, members will recall that the Prime Minister directed the Minister of International Trade in her mandate letter to prioritize the implementation of the modernized free trade agreement with Israel.
Canada and Israel share a strong, bilateral, multi-dimensional relationship that includes close political, economic, social and cultural ties. Support for Israel, especially for its right to live in peace and security alongside its neighbours, has been central to Canada's Middle East policy since 1948.
That relationship is still flourishing, as evidenced by co-operation in many areas, such as public safety, defence, trade, and investment, and by official visits on both sides.
We support Israel, but we also support the Palestinian people and their legitimate desire to live in peace, security, and justice. However, in order to achieve this, we need to remain engaged with all parties in the region at all times.
As with any friendship, as in our case with Israel, we will sometimes agree, sometimes disagree, sometimes be critical of each other, but we will remain friends. BDS will not help the Palestinian people achieve their desire for peace, security, and justice.
Therefore, with that general context being given, I will proceed to tell this House some of the more economically oriented aspects of our relationship with Israel.
Canada and Israel want improved bilateral trade and economic relations. Along the same lines, the Canada-Israel Strategic Partnership MOU seeks to strengthen and consolidate bilateral relations in a number of areas, including energy, security, international aid and development, innovation, and promotion of human rights around the world.
In order to meet the objectives set out in the strategic partnership, Canada and Israel signed a joint statement of solidarity and friendship. In addition, both countries signed memoranda of understanding on foreign ministry co-operation and on public diplomacy co-operation and a declaration of intent on enhancing trade promotion.
Various bilateral agreements support Canada’s commercial relations with Israel. These include the Canada-Israel Air Transportation Agreement (2015), a renewed and funded science and technology agreement, the Double Taxation Agreement (1977), and the Canadian Space Agency - Israeli Space Agency MOU for Space Cooperation (March 2005).
The Government of Canada is determined to provide Canadian businesses with the tools they need to succeed and compete in a global marketplace. In today's modern, knowledge-based economy, free trade agreements, or FTAs, need to go beyond reducing tariffs on goods. A 21st century agreement must take new trade challenges into account. Israel is an important economic partner for Canada within the Middle East and the North African region, with a full range of commercial opportunities, including trade, investment, science and technology, and innovation.
I have taught or lectured in Israel on two occasions, at three different institutions, in the areas of property and intellectual property. Its universities are excellent, its research and technology sector outstanding, and I can attest to the dynamism of the innovation sector in Israel, often called “start-up nation”.
In order to draw on this potential, the modernization of the Canada-Israel Free Trade Agreement, or CIFTA, is beneficial for Canadian businesses because it eliminates or reduces tariffs on certain goods. In addition, by eliminating a number of former trade barriers, it will open up new opportunities in the Israeli market for Canadian exporters, for example, in the agricultural and agri-food sectors, as well as the seafood sector.
On July 21, 2015, Canada and Israel announced the conclusion of an expanded and modernized CIFTA adapted to the 21st century, which reduces technical barriers, strengthens co-operation, increases transparency in regulatory matters, and reduces transaction costs for businesses.
Israel offers a wide range of technologies in areas of exports, investment, science and technology, and innovation.
A modernized CIFTA will enable Canadian companies to take greater advantage of these opportunities. This agreement will also support Canadian businesses and investors, deepen trade and investment linkages, and further strengthen Canada’s bilateral relationship with Israel.
This agreement creates new opportunities to further expand on the Canada-Israel economic partnership. This means that Canada and Israel are creating the right conditions for trade in our modern and knowledge-based economies. This modernized CIFTA is truly a 21st century agreement.
Accordingly, the modernized CIFTA includes provisions to address non-tariff barriers in Israel. Building on the strength of the existing Canada-Israel commercial relationship, the modernized CIFTA establishes new mechanisms under which Canada and Israel can co-operate to discuss, prevent, and resolve non-tariff barriers that could have a negative impact on exports.
Canada and Israel will complete their respective domestic processes, with the goal of having the modernized agreement in force as soon as possible, to the benefit of a stronger Canada-Israel economic partnership.
A key element of the commercial relationship is collaboration in science, technology and innovation, or STI. Bilateral STI relations are strong and based on a long history of close collaboration. Currently, a number of Canadian government organizations and some provinces are involved in collaborative research and development with Israel.
Israel has a relatively open investment environment. Foreign investors mostly enjoy equal treatment with nationals, though foreign investment is restricted in some sectors, such as defence, and requires government approval in other sectors, such as banking and insurance. Israel has robust infrastructure, a highly skilled workforce, and it benefits from its qualified industrial zone agreements with Jordan and Egypt. Israel is a rich country with advanced technology and developed agricultural and industrial sectors. Canada and Israel have well-established relationships in trade and investment, a market that offers commercial opportunities in a wide range of sectors.
Indeed, international rating agencies rate Israel as investment grade. In addition, the Canadian Trade Commissioner Service can provide on-the-ground intelligence and practical advice on the Israeli market to help Canadian businesses make better, more timely, and cost-effective decisions in order to meet their clients' objectives in that market. Similarly, Export Development Canada is a partner of choice for Canadian businesses in Israel.
In short, co-operation between our two governments and our two peoples is extensive. Our governments work closely with each other on matters relating to trade, investment, science, technology, innovation, education, and many others. Numerous initiatives along a wide spectrum of co-operation bring together an increasing number of Canadians and Israelis.
Finally, one of the underlying strengths of the Canada-Israel bilateral relationship lies in the extensive people-to-people ties. There are approximately 20,000 Canadian citizens living in Israel, and many Canadians have family in Israel.
These initiatives are proof positive against BDS. By being engaged with Israel, we will help promote peace, security, and justice for Israel and its neighbours, principally the Palestinians.